Venezuela: Tax & Auditing Requirements

The Corporate Tax in Venezuela is 15-34%, depending on the income of the corporation. Income is measured in Taxation Units (TU), which are annually adjusted. For incomes of 0-2000 TU, the rate is 15%, for incomes of 2000-3000 TU, the rate is 22%, and for incomes of over 3000 TU, the rate is 34%. Income for oil-related businesses are taxed at a flat rate of 50%, and income from banking and finance-related activities domiciled in Venezuela is taxed at 40%. The issue is that the TUs are denominated in Venezuelan Bolivars (VEF), which have become worthless in 2018 (1 million percent inflation as of July 2018). The TU rate was VEF 300 in 2017 and 500 in 2018, but hyperinflation has caused these numbers to be basically useless. (Source).

In addition to corporate income taxes there are municipal taxes which range from 0.15 to 10%. Part 6 of this guide has a detailed summary of Venezuelan tax regulations.

It must be iterated that all these regulations are subject to change due to the 2018 economic crisis.

Audit Requirements

Companies created with foreign investment, as well as banks, insurance companies, and companies listed on the stock exchange, as well as registered vendors to the Venezuelan National Oil Company PDVSA, must file annual audited financial statements with the Superintendence of Foreign Investment (SIEX). Other company do not require audited financial statements.


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